Chapter 01 - The Real Estate Business

Question 1

Absentee owner

Answer 1

A property owner who does not reside on the property and who usually relies on a property manager to supervise the investment.

Question 2

Agricultural property

Answer 2

Defined in Chapter 475, F.S., to mean property zoned as agricultural and consisting of more than ten acres.

Question 3

Appraisal

Answer 3

Professional service provided by a registered, licensed, or certified appraiser or real estate licensee to produce an estimate of value as of a specific date.

Question 4

Business broker

Answer 4

A real estate licensee who engages in the sale, purchase, or lease of businesses.

Question 5

Business opportunity brokerage

Answer 5

The real estate activity dealing in the sale, purchase, or lease of businesses as going concern operations.

Question 6

Comparative market analysis (CMA)

Answer 6

An informal estimate of market value performed by a real estate licensee for the seller to assist in arriving at an appropriate listing price or, if working with the buyer, an informal estimate of market value to assist the buyer in arriving at an appropriate offering price.

Question 7

Counselors

Answer 7

Professionals who analyze existing or potential real estate problems and recommend a course of action.

Question 8

Dedication

Answer 8

An offer of private land for some public use, by an owner, together with acceptance by or on behalf of the public.

Question 9

Deed restrictions

Answer 9

Provision placed in deeds to control future uses of the property. A deed restriction, for example, may prevent future landowners from selling alcoholic beverages on the site.

Question 10

Farm area

Answer 10

A selected and limited geographical district to which a sales associate devotes special attention and study; to farm an area or neighborhood.

Question 11

Follow-up

Answer 11

What a sales associate does after a sale to maintain customer contact and goodwill.

Question 12

Multiple listing service (MLS)

Answer 12

The MLS is a database that allows real estate brokers representing sellers under a listing contract to share information about properties with brokers who may represent potential buyers.

Question 13

Property management

Answer 13

The leasing, managing, marketing, and overall maintenance of property for others.

Question 14

Real estate brokerage

Answer 14

The part of the real estate business that is concerned with completing a real estate transaction and bringing buyers, sellers, owners, and renters together.

Question 15

Real estate business

Answer 15

A commercial activity in which the sale, purchase, leasing, rental, exchange, or management of real property is conducted by qualified and licensed parties acting either for themselves or for others for compensation.

Question 16

Residential

Answer 16

Real estate is defined in the Florida license law to mean four or fewer residential units, vacant land zoned for four or fewer residential units, or agricultural property of ten or fewer acres.

Question 17

Restrictive covenants

Answer 17

Conditions placed by developers that affect how the land can be used in an entire subdivision. They affect how the land can be used and are designed to protect and maintain the value and integrity of the neighborhood.

Question 18

REALTOR®

Answer 18

A REALTOR® is a real estate professional who is a member of a local Board (or Association) of REALTORS® and is affiliated with the Florida REALTORS® and the NAR.

Question 19

Subdivision plat map

Answer 19

A plan of a tract of land subdivided into lots and showing required or planned amenities, streets, and utilities that is submitted to a local government agency.

Question 20

Uniform Standards of Professional Appraisal Practice (USPAP)

Answer 20

A set of standards of practice to follow when providing appraisal services.